leveraging traditional knowledge and modern technology
TRANSCRIPT
Rinka Banerjee
Regional Technology Director, Foods South Asia
Hindustan Unilever Limited
FOODWORLD INDIA 2011Mumbai
Leveraging traditional knowledge and Leveraging traditional knowledge and modern technology modern technology –– mass market mass market opportunitiesopportunities
What will I talk about
• What are the opportunity drivers
• Leveraging tradition & technology - case
• What challenges need resolving
Foods & Health - large business opportunities
Food and Health Care are among the biggest source of business.Currently, 90% of Foods spending in India is un-branded.
Market size projection
0
100
200
300
400
500
600
Food Healthcare Household Personal Care
Mar
ket s
ize
(€ b
illio
n)
China 2005
China 2025
India 2005
India 2025
Source: McKinsey Global Institute Analysis
1.69
2.56
2.1
1.2
Source: US Census Bureau, 2010 and Department of Economic and Social Affairs of the United Nations, Frost & Sullivan
Note: Gen Y : Population between 15 – 34 Years today
2010 2020
World Population: Breakdown by Region (Global), 2020
6.83 Billion
7.55 Billion
World Population in 2020 : 2.56 Billion Population in Age Group 15 to 34 (currently Gen Y) Important Customer of the Future
Around 37% of Gen Y Population Will Live in India and China Alone
Around 37% of Gen Y Population Will Live in India and China Alone
Key Customers
China/IndiaSouth EuropeNorth EuropeSouth AmericaNorth America
Gastro Intestinal problems, 21%
High cholesterol, 11%
Cosmetic signs of aging, 12%
Frequent colds/flu, 14%Eye health, 23%
Stress, 21%Stress, 12%Eye health, 15%Tiredness, 18%Arthritis, 28%
Food allergies, 23%Tiredness, 12%Overweight, 22%Eye health, 21%Overweight, 35%
Tiredness, 34%Frequent colds/flu, 12%Stress, 25%Stress, 21%Stress, 40%
Frequent colds/flu, 35%Overweight, 19%Tiredness, 26%Overweight, 22%Tiredness, 42%
Key Trends towards Health
Q: Which of the following concerns you personally or another in your household:
Tiredness and Stress, Overweight, and frequent Colds and Flu are top 3 clusters of health concerns to shoppers in every region. Other health concerns include arthritis, eye health, cosmetic signs of aging, high cholesterol, Gastro intestinal problems, and food allergies.
Top problems
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2
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4
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• Increased urbanisation
• Changing diets and lifestyles
• Out of home consumption, junk food
• Less physical activity
• Excess energy intake and poor quality of energy•Middle and High SES children, total fat and sugar intakes are twice the recommended intake•Prevalence of overweight: 8 - 29% •Prevalence of obesity: 1- 7%
• Low nutrient density of foods
Nutrition transition: Indian Middle Class
Nutrition transition :
Unhealthy eating habits, intake of empty calories, overweight and obesity – Inadequate consumption of key micronutrients
Nutrition transition :
Unhealthy eating habits, intake of empty calories, overweight and obesity – Inadequate consumption of key micronutrients
Nutrient intake: Urban IndiaNutrient intake: Urban India-- Apparently Healthy (Well fed) Apparently Healthy (Well fed) ChildrenChildren
•Multiple micronutrient deficiency co- exist even in school children belonging to middle and high income group.
0102030405060708090
100
Percentage Children with inadequate
micronutrient status
RBC
Folat
eVi
tam
in B
6Vi
tam
in B
2Vi
tam
in C
Hem
oglo
bin
Vita
min
AVi
tam
in B
12Vi
tam
in D
Vita
min
B1
Calci
um
Micronutrients
Micronutrient Status of Children
•Inadequate dietary intakes of vital nutrients like iron & other micronutrients•High prevalence of anemia – (14 – 88%)•Prevalence of anemia linked to low dietary intakes of iron (only 30-50% of RDA)•44-66% of the affluent school children has vitamin A, vitamin B2, B6, B12 and vitamin C deficiencies
•Sub-clinical deficiencies of Iron, Folate, Vitamin B12, Vitamin A and C can be commonly seen.
•Indications that intakes of zinc is also low.
•The percentage of households receiving adequate iodized salt is only 51 %
Lifestyle diseases trends & insightsLifestyle diseases trends & insights
Shift towards non communicable diseases as causes of death by 2030
WHO estimates by 2015, India is set to lose a massive $237 billion, in national income as a result of diabetes, heart disease and stroke.
The traditional food systems of Indigenous Peoples touch the full spectrum of life in ways
that modern food systems do not ‐ FAO
Indigenous People – Food SystemsWhat can we learn ?
Science behind the product• The herbal recipe is composed of hot grass jelly, chrysanthemum, liquorice, honeysuckle, spicaprunellae Plumeria rubra acutifolia and Microcos paniculata Linn. • In the product website, it is claimed that “modern scientific evidences show that the plant flavonoids, the main active components, can prevent inner fire”. • No available efficacy data.
• “Inner fire” is prevalent in modern society, which is believed to be linked with environmental pollution, physical inactivity, stress, irregular life, spicy food and humidity. Cooling tea, which dated back to A.D. 306, is routinely consumed to relieve inner fire in South China, especially Guangdong province. • “WANGLAOJI” is the cooling tea brand with more than 180-year history and had been sold in tea houses. Hong Kong Jia Duo Bao group founded the join venture with Guangzhou Pharnaceutical Company and manufactured the first R.T.D. herbal tea in 1995. It fastens consumer’s reorganization on the “Chinese traditional wellness culture” and caters for Chinese consumers’ need on “natural & healthy” beverage.
http://www.jiaduobao.com.cn/cn/contact/contact_qa_jx.asp?sort_id=59 ; http://www.chengmei-trout.com/achieve-4.asp?gclid=COL67e_xzqQCFc9A6wodfgrQBw; http://finance.ifeng.com/company/data/news/1274.shtm
02468
101214
2002 2003 2004 2005 2006 2007 2008
year
sale
s (b
illio
n)
¥12 bn
“The most popular tin beverage in China”in the last 3 years;“Global food industry award” in 2010;80% MTK share in “cooling tea”.
R.T.D. herbal tea registered as normal foods with the soft claim “ To avoid inner fire, drink Wanglaoji”.
WANG LAO JI- Cooling Tea
Value addition to tea Value addition to tea ––Leveraging traditional knowledgeLeveraging traditional knowledge
Ayurvedic ingredients helps protect
my family from common illness like
cough and cold.
Target consumer : Contemporary urban homemaker who wants the best for her family’s health
Define the consumer insight
Some people fall ill less often than
others. During change of weather
some people get cough and cold
while others don’t which is because
of immunity.
Leads from ‘Ayurveda’
- Traditional Indian System of Medicine- Provides good to excellent leads for various
health benefit- Retains the health of healthy & prevents disease- Improves the health of unhealthy
“Boosting of Natural Immunity”
Leveraging traditional knowledge
Aligning brand, product and benefitAligning brand, product and benefit
Intuitive, consumer-friendly fit
brand
productbenefit
The Product
A unique mix of 5 ayurvedic ingredients -Ashwagandha, Mulethi, Ginger, Tulsi and cardamom
In house developed low cost technology for uniform distribution of extracts on tea
5 panel artwork - a packaging innovation to differentiate the ingredients to consumers
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C ont ro l Ginger B asil M ulet hi A shwag andha
Cell Culture Based BioCell Culture Based Bio--AssaysAssays
Natural Killer Cell Assay
Would it work in Human ???
Natural Killer cell activity enhanced by herbs in vitro.
Gingerol, λmax :320nm, λmax :355nm
Withaferin A , λmax 228nm
Detection wavelength: 282nm
Detection wavelength: 250nm
Retention time: 8.48 min
Retention time: 6.910 min
6-Gingerol
Detection of Herbs in Tea Extract
Glycyrrhetinic acid , λmax: 276nm
Ursolic acid , λmax: 200nm
Detection wavelength: 250nm
Detection wavelength: 210nm
Retention time: 7.42 min
Retention time: 5.64 min
Result Result
Consumption of Fortified tea significantly improves NK cell activity.
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25
0 1 2Intervention Duration (Months)
NK
Cel
l Act
ivity
(%)
Regular TeaFortified Tea
*
1 2
*
Execution:- 360 communication- Activation
Business Results:Strong double digit growthSignificant contribution to RED LABEL
“In store” Activation
Red Label Natural Care
Traditional Food Preparations of India from Millets
Millets Seeds as Cereals
Traditional Health Care (Ayurveda) & Millets
• References to Millets – Charaka Samhita (1000 BC)– Bhavprakash Nighantu (16th century)
• Benefits of Millet preparations– Easy to digest– Improves fat metabolism and helps in loosing weight– Bone health: Strengthens bones, helps in repair of broken
bones
• Recommended in Diabetes– Replacement of Indian Daily Bread (Chapatti) – Soaked in Triphala, dried and mixed with wheat
Triphala: Amalaki (Emblica officinalis), Bibhitaki (Terminaliabellerica), Haritaki (Terminalia chebula)
Finger Millets: Anti-Diabetic Potential
• Post-Prandial Glucose Control– Intervention: Finger Millet flour incorporated in wheat
bread (Roti) [3% - 30%] and rice (Dosa) [70%] suppress post-prandial blood glucose increase in diabetic patients
• Plant Foods for Human Nutrition 57: 205–213• Ind J Nutr Diet 27: 316–320• Ind J Nutr Diet 32: 123–126• Current Science 98, no. 6, 25 march 2010
LIMITATIONS: Small sample size, Diabetic population on drugs
Nutritional Benefits of Millets
What Underlies largely Perceived Superior Nutrition Profile of Millets ?
• Whole grain Consumption vs. Refined Grain• Unique carbohydrate composition ?
Distinct physicochemical propertiesLow Glycemic Response
• Higher Fiber Content• Better Micronutrient profile
Fe++
Ca++
Key Challenges
• Regulatory Issues:– Guidance for claims– Broadening standards to include traditional
ingredients
• Building trust & credibility:– Generating the scientific data; establishing history of
safe use, and efficacy
• Consumer communication
• Tasty & Healthy
Consumer communication challenge
• Consumers seek healthy foods and beverages, but:
– do not always know what choices to make– often have misconceptions about what is healthy or unhealthy
• They are interested in nutrition information, but:
– often don’t read back-of-pack information at point of purchase– have difficulty understanding labelling information
• Simple “smart choice” front-of-pack logo to endorse health credentials of the product
• However….
Proliferation of health logos…
Pick the tickAustralia/New Zealand
KeyhKeyholeolesystsystememSweSwedenden
PepsiCoUnited Statesof America
Albert HeijnTheNetherlands
Health RobotSouth Africa
HealtHealthier hier ChoiChoiceceSingSingaporaporee
Multiple Traffic Light United Kingdom Sainsbury Traffic Light
United Kingdom
GDA Tesco
Sensible Solution Kraft
GDA McDonald’s
… can be confusing
The Choices Stamp
Visual expression of choiceScientifically referenced
Qualifying criteria for key nutrients
Saturated fat
Trans fat
Sodium
Added sugar Dietary fibre
Energy
Summary
• Large, fast growing market for health & wellness foods using traditional knowledge
• Leveraging key consumer trends, insights/beliefs and major market segments is the key to success
• Products should deliver taste & health
• Claims must be backed with appropriate scientific substantiation
• Self regulation with appropriate checks and balances
• Play to the market realities : “Its easier to ride the wave than create one”
• Ensure alignment of product, brand and benefit; “Intuitively must make sense”